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What Is a Living Wage?

From the NYTimes magazine:

For a few weeks in the summer of 1995, Jen Kern spent her days at a table in the Library of Congress in Washington, poring over the fine print of state constitutions from around the country. This was, at the time, a somewhat-eccentric strategy to fight poverty in America. Kern was not a high-powered lawyer or politician; she was 25 and held a low-paying, policy-related job at Acorn, the national community organization. Yet to understand why living-wage campaigns matter - where they began, what they mean, and why they inspire such passion and hope - it helps to consider what Kern was doing years ago in the library, reading obscure legislation from states like Missouri and New Mexico.

A few months earlier, she and her colleagues at Acorn witnessed an energetic grass-roots campaign in Baltimore, led by a coalition of church groups and labor unions. Workers in some of Baltimore's homeless shelters and soup kitchens had noticed something new and troubling about many of the visitors coming in for meals and shelter: they happened to have full-time jobs. In response, local religious leaders successfully persuaded the City Council to raise the base pay for city contract workers to $6.10 an hour from $4.25, the federal minimum at the time. The Baltimore campaign was ostensibly about money. But to those who thought about it more deeply, it was about the force of particular moral propositions: first, that work should be rewarded, and second, that no one who works full time should have to live in poverty.

So Kern and another colleague were dispatched to find out if what happened in Baltimore could be tried - and expanded - elsewhere. As she plowed through documents, Kern was unsure whether to look for a particular law or the absence of one. Really, what she was trying to do was compile a list of places in the U.S. where citizens or officials could legally mount campaigns to raise the minimum wage above the federal standard. In other words, she needed to know if anything stood in the way, like a state regulation or court decision. What she discovered was that in many states a law more ambitious than Baltimore's - one that didn't apply to only city contractors but to all local businesses - seemed permissible.

Whether a wage campaign was winnable turned out to be a more complicated matter. In the late 1990's, Kern helped Acorn in a series of attempts to raise the minimum wage in Denver, Houston and Missouri. They all failed. "It wasn't even close," she says. In the past few years, though, as the federal minimum wage has remained fixed at $5.15 and the cost of living (specifically housing) has risen drastically in many regions, similar campaigns have produced so many victories (currently, 134) that Kern speaks collectively of "a widespread living-wage movement."

Santa Fe has been one of the movement's crowning achievements. This month the city's minimum wage rose to $9.50 an hour, the highest rate in the United States. But other recent victories include San Francisco in 2003 and Nevada in 2004. And if a pending bill in Chicago is any indication, the battles over wage laws will soon evolve into campaigns to force large, private-sector businesses like Wal-Mart to provide not only higher wages but also more money for employee health care.

It is a common sentiment that economic fairness - or economic justice, as living-wage advocates phrase it - should, or must, come in a sweeping and righteous gesture from the top. From Washington, that is. But most wage campaigns arise from the bottom, from residents and low-level officials and from cities and states - from everywhere except the federal government. "I think what the living-wage movement has done in the past 11 years is incredible," David Neumark, a frequent critic of the phenomenon who is a senior fellow at the Public Policy Institute of California, told me recently. "How many other issues are there where progressives have been this successful? I can't think of one."

Posted by Brendan - January 16, 2006 04:15 PM - In The News